Lab Weekly - 10/25/2024
The “AI Agents” are here; Plus, the latest news on Amazon Prime, Runway, & more must-know stories and cool stats
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The AI Agents Are Coming — Is Your Brand Ready?
Exploring what moving on from AI chatbots to agentic AI systems might mean for companies and consumers
In case you missed it…
Why Waymo Won For Now, And What’s Coming Next
On Tesla’s Cybercab, Waymo’s Robotaxi, and the nearing future of self-driving cars
Shop As You Scroll: The Future of Social Commerce
Examining the current state of social commerce, the rise of Chinese ecommerce apps, and their potential to reshape online shopping
Episode 163: The Early Days of MR Headsets
Welcome back to Floor 9! This month, we welcome long-time host and director of partnerships, Ryan, back from his paternity leave to chat with Adam, the managing director of the Lab, to round up all the recent news around mixed reality headsets.
From the Orion AR glasses prototype that Mark Zuckerberg showcased earlier this month, or Meta’s Ai-infused Ray-Ban smart glasses, to the developer-oriented Snap Spectacles, as well as the headset that kicked off this wave of spatial computing hardware, Apple’s Vision Pro, we covered them all!
In addition, Adam and Ryan analyzed the current competitive landscape among the tech companies trying to crack the MR hardware market and prognosticated how things might shake out over the next five to ten years. Click here to listen now!
If you enjoyed the episode, please consider giving us a five-star review on Apple Podcast. Follow the Lab on LinkedIn and on Medium for our latest insights. Thanks for listening!
Amazon Adds Gasoline Discounts For Prime Members [TechCrunch]
Amazon Prime members now have access to additional savings at BP and Amoco gas stations by linking their Amazon accounts to BP’s loyalty program. This perk provides a 10-cent-per-gallon discount, similar to a benefit in its competitor’s Walmart+ bundle. Additionally, Amazon plans to extend discounts to EV charging in 2025, further enhancing Prime's appeal.
With rising subscription and streaming costs, this and other benefits—like free Grubhub delivery—help keep Prime attractive to users. CIRP estimates show this approach is working, with approximately 75% of Amazon shoppers now subscribing to Prime, up from 50% in 2016.
Amazon Prime has evolved far beyond its e-commerce roots, transforming into a comprehensive bundle that keeps customers engaged across multiple areas of their lives. By continually adding non-shopping perks — from NFL games on Prime Video, to expanding online pharmacy service, to now savings on gas — Amazon continues to enhance the perceived value of Prime, turning it into a lifestyle subscription that goes far beyond online shopping.
Related: Amazon is testing a new redesigned homepage for its shopping app [The Verge]; Walmart launches 30-minute prescription deliveries in US [Reuters]
Runway Releases New AI Facial Expression Motion Capture Feature [VentureBeat]
Runway's Act-One is a new motion-capture (mo-cap) feature that leverages generative AI to enable users to create lifelike facial animations for AI-generated characters simply by recording video with a smartphone camera, without the need for specialized hardware traditionally required for mo-cap. It’s accessible to users with Runway credits and works within the company's Gen-3 Alpha video generation model.
This feature opens possibilities for indie filmmakers and digital creators to produce high-quality, character-driven CGI content on a budget. Notably, Runway’s Act-One prioritizes ethical usage, incorporating safeguards against unauthorized content involving public figures.
For brand marketers, the potential to create distinct, expressive personas might open up new possibilities in brand storytelling. As AI-driven animation potentially becomes more accessible, brands may consider this as a more affordable path to create engaging content.
Related: Canva has a shiny new text-to-image generator [The Verge]; Meta is expanding testing for facial recognition as part of its ad review system in an effort to combat celebrity scam ads [TechCrunch]
Spotify To Launch an Ad Exchange, Partnering with The Trade Desk [Axios]
Spotify is tuning up its ad tech as it looks to attract even more ad dollars. The music streaming platform is piloting an ad exchange, or a supply-side platform (SSP), to help scale its automated ad offerings. with The Trade Desk operating as its demand-side platform partner. The initial focus will be on video content to start.
By building its own exchange, Spotify can capture more ad revenue from small- and medium-sized businesses, making it more competitive with platforms like Meta and Google. This latest offering from Spotify could lower the bar to entry and entice smaller brands to experiment with ad placements on the platform, as The Trade Desk is a widely utilized platform by advertisers of all sizes.
Related: Spotify trims ad sales team as it focuses on smaller clients and programmatic [AdAge]; PayPal just opened a new ad business [Business Insider]
Situational Awareness:
Disney and Apple are breaking up over App Store fees [Business Insider]
Now that Netflix, Disney+, and Hulu have all moved away from in-app purchases (IAP), while YouTube imposes higher prices on Apple users who subscribe via IAP, the tension between the paid video streaming industry and the App Store is quite noteworthy. Short-term, this hurts the streamers in terms of adding friction into user acquisition. But in the long run, Apple will need to manage the negative impact of popular third-party apps pulling away from IAP, which undermines the App Store experience.
WhatsApp will allow users to store contacts within the app [TechCrunch]
Took them long enough to do this, but better late than never! Compared to Instagram and Facebook Messenger, Meta’s relative restraint towards adding commercial features to WhatsApp is almost commendable. But, WhatsApp users, especially international users outside the U.S., are already talking to businesses on the app, so allowing them to save store contacts is obviously a win-win for both users and the businesses.
Netflix shuts down 'AAA' Team Blue gaming studio [Game File]
It never really quite made sense for Netflix to produce triple-A games themselves. Just like how the most popular and profitable Nteflix shows tend to be “Netflix Originals” that they acquired from an outside production company, the economics of developing triple-A games in house were always going to be risky. Perhaps now it can focus on casual mobile gaming with tie-in to its IP.
TikTok expands STEM feed to all users in the US, UK & Ireland [TechCrunch]
Rolling out an educational feed is a good way for TikTok to score some brownie points with regulators. It could also be a good channel for STEM toy companies and education-adjacent brands to seed their short-form video and creator content.
Hyundai’s new IONIQ 5 ‘ultra-fast’ lease offer lets you upgrade it like an iPhone [Electrek]
We’ve been talking about the MaaS (Mobility-as-a-Service) model for years here at the Lab. For that to become the dominant business model for the mobility industry, a faster upgrade cycle for cars, enabled by services such as this short-lease upgrade program by Hyundai, is a key factor to shift consumer expectations around car ownership.
Cable providers may lose up to 481,000 internet customers in the third quarter, according to estimates from SNL Kagan and Bloomberg Intelligence, the worst ever decline for the industry, Bloomberg reported. With more consumers opting for wireless services over broadband for home internet access, cable companies are set to lose more customers.
EssilorLuxottica says Ray-Ban Meta glasses are a “success” in the US and the bestseller in 60% of Ray-Ban stores in the EMEA region, the company's CFO Stefano Grassi shared on the company's Q3 2024 earnings call. EssilorLuxottica is Ray-Ban's parent company, which has a near monopoly on the eyewear market worldwide.
Last week, Bluesky says it added 500K new users in a day after X announced plans for controversial changes, including basically getting rid of the block feature. Bluesky says it now has 13 million users worldwide, up from 10 million in September.
If you find our insights valuable and would like to have a deeper conversation on technology and media innovations, or need to sound smarter in a client meeting or a pitch, please feel free to reach out to Chelsea Freitas, our VP of Strategy, at chelsea@ipglab.com.
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